Government to change rules after losing EU housing case

The government today said it would change the rules on EU immigrants claiming council housing in Britain after losing a court of appeal case.

Yesterday, judges ruled that two Dutch citizens who were not actively looking for work were entitled to council homes.

Current rules mean EU nationals can freely come to live in the UK if they are working or self-sufficient. Those who do not have money or are not looking for work become subject to immigration controls and are not entitled to free movement within the EU.

However, when they fall into the "economically inactive" category, they become entitled to be considered for a council house.

Hassan Ismael and Nimco Abdi took Barnet local authority, in north London, to court after being refused housing.

Mr Ismael, a widower who is the sole carer of his two young children, was granted Dutch citizenship in 2000 and arrived in the UK in February 2004. Ms Abdi, a mother of three who fled Somalia in 1993, was given Dutch nationality in 1998. She came to Britain in 2001.

Both were described as economically inactive and said they were unable to work because they had to look after their children.

However, Barnet's legal team, backed by the Office of the Deputy Prime Minister, argued that because the pair were legally entitled to enter the UK as EU nationals and could stay in the country until removed, they had no legal right to housing.

Lord Justice Buxton, sitting with Lord Justice Lloyd and Lord Justice Richards, said he was "unpersuaded" by the council's argument.

"We are disappointed with the judgment and we intend to change the regulations to remedy the situation as soon as possible," a spokeswoman for the Office of the Deputy Prime Minister said.